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Author
Keogh Daniel (Quantum Metric, USA), Johnson Daniel K.N. (Colorado College, USA)
Title
Survival of the Funded : Econometric Analysis of Startup Longevity and Success
Source
Journal of Entrepreneurship, Management and Innovation (JEMI), 2021, vol. 17, nr 4, s. 29-49, tab., bibliogr. s. 45-47
Issue title
Entrepreneurship and Innovation in the Age of Digital Transformation
Keyword
Przedsiębiorstwo typu start-up, Przetrwanie przedsiębiorstwa, Przychody, Kapitał ludzki, Przewaga konkurencyjna, Finansowanie przedsiębiorstwa
Startup, Enterprise survival, Revenue, Human capital, Competitive advantage, Financing enterprises
Note
JEL Classification: L25, L26, J24
streszcz., summ.
Abstract
CEL: Istniejąca literatura na temat sukcesu przedsiębiorstw rozpoczynających działalność jest dogłębna w badaniu poszczególnych czynników, ale stosunkowo nieliczna w testowaniu tych czynników łącznie. Badanie to sprawdza efekty interaktywne, tj. komplementarność między tymi czynnikami. METODYKA: Stosujemy model proporcjonalnego hazardu Coxa do oszacowania długowieczności w startupach, uzupełniając go o oszacowanie maksymalnego prawdopodobieństwa dwóch miar sukcesu (zatrudnienie i przychody). W każdym modelu wyraźnie testujemy interakcje między terminami, tym samym rozwijając literaturę. WYNIKI: Analiza danych panelowych pokazuje, że strategia finansowania ma znaczenie dla sukcesu startupu, szczególnie w połączeniu z określonymi atrybutami kapitału ludzkiego i społecznego założycieli. Na przykład aniołowie biznesu i inwestorzy venture capital korzystają z nich inaczej niż założyciele z doświadczeniem w branży; założyciele z wyższym wykształceniem generują większe przychody niż ich rówieśnicy, zwłaszcza gdy ich startupy współpracują w ramach partnerstw uniwersyteckich. IMPLIKACJE DLA TEORII I PRAKTYKI: Artykuł sugeruje konkretne sposoby, w jakie przedsiębiorcy powinni myśleć o opcjach finansowania, które są komplementarne z atrybutami ich założycieli. Co więcej, sugeruje to, że literatura musi być bardzo przemyślana, nie tylko pod względem wskaźników sukcesu, ale także porad dla decydentów, finansistów i przedsiębiorców ze względu na zniuansowane nieliniowości i interakcje, które demonstrujemy. ORYGINALNOŚĆ I WARTOŚĆ: Wnosimy wkład w literaturę dotyczącą finansowania startupów za pomocą dużego zestawu danych, starannego modelowania interaktywnej komplementarności między danymi wejściowymi, korekty potencjalnego błędu doboru próby w poprzednich badaniach oraz zestawu modelowanych wyników (przeżycie, zatrudnienie i przychody) które pozwalają na zniuansowane wyniki. (abstrakt oryginalny)

PURPOSE: The existing literature on the success of startup enterprises is thorough in investigating individual factors, but relatively weak in testing those factors in combination. This research tests for interactive effects, i.e., complementarities, between those factors. METHODOLOGY: We use a Cox proportional hazard model to estimate longevity in startups, supplementing it with maximum likelihood estimation of two metrics of success (employment and revenue). In each model, we explicitly test for interactions between terms, thus advancing the literature. FINDINGS: Panel data analysis shows that financing strategy matters to startup success, especially when combined with specific human and social capital attributes of the founders. For example, angel investors and venture capital investors benefit differently from founders with industry experience; founders with higher educational achievement generate more revenue than their peers specifically when their startups collaborate in university partnerships. IMPLICATIONS FOR THEORY AND PRACTICE: The paper suggests specific ways in which entrepreneurs should think about financing options that are complementary with their founder attributes. Further, it suggests that the literature must be very thoughtful, not only about the indicators of success but about advice to policymakers, financiers and entrepreneurs because of the nuanced nonlinearities and interactions we demonstrate. ORIGINALITY AND VALUE: We contribute to the literature on startup financing with a large dataset, careful modelling of interactive complementarities of between inputs, correction of the potential sample selection bias in previous studies, and a suite of modelled outcomes (survival, employment, and revenue) which allow for nuanced results. (original abstract)
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ISSN
2299-7075
Language
eng
URI / DOI
https://doi.org/10.7341/20211742
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